Asian Markets Update 7 am
Indian equities may start the day flat to negative, as the GIFT Nifty indicates. The futures contract on the NSE International Exchange (NSE IX) is trading 20 (-0.1%) points lower. Its Asian peers are trading mixed. The Nikkei 225 declined 0.1%, while Hong Kong's Hang Seng index rose 3.0%.
US market update
US markets ended the day higher with a surge in energy stocks and better-than-expected results from big tech stocks. Dow Jones rose for the eleventh straight day and settled 0.5% higher, while NASDAQ gained 0.1%.
Index Action
NIFTY50
July Futures @ 19,681 📉▼94 (-0.4%)
OI Contracts: 1,71,452 (-13.7%)
The Nifty50 started the week on a weak note and ended a volatile session in the red. Cuts in index heavyweights from the Oil & Gas and FMCG sectors pushed the index lower for the second straight day, settling below 19,700. The PCR dipped sharply from 1.4 level to 0.8 level.
Among major companies, Asian Paints, L&T, and Tata Motors will announce their earnings today.
The Nifty50 options expiring on 27 July have significant positions at 19,800 and 20,000 calls and 19,700 and 19,800 puts.
According to options data and OI analysis, the Nifty50's range for the 31st August expiry is between 19,100 and 20,400 levels. On the other hand, 19,500 and 19,900 are this week's immediate support and resistance levels.
BANK NIFTY
July Futures @ 45,988 📉▼119 (-0.2%)
OI Contracts: 1,14,171 (-19.6%)
After an opening move to 46,000, the Bank Nifty slipped lower through the day and settled below this psychologically crucial level. Cuts in pvt banks dragged the index lower, while gains in PSU banks supported the index. Despite the fall, the index's breadth was marginally positive, with 7 out of the 12 stocks ending in green.
IndusInd Bank (+2.0%) and IDFC First Bank (+1.0%) were the top gainers among banking index stocks. AU Small Finance Bank (-3.6%) and Kotak Mahindra Bank (-3.7%) were the top laggards.
The Bank Nifty's options expiring on 27 July have significant positions at the 46,000 and 46,500 calls and 46,000 and 45,000 puts.
According to options data and OI analysis, Bank Nifty's range for the 31st August expiry is between 44,600 and 47,200. On the other hand, 45,300 and 46,600 are the immediate support and resistance levels for this week.
FII and DII Data**💰
In the cash market, the Foreign Institutional Investors (FIIs) sold shares worth ₹82 crore, while the Domestic Institutional Investors (DIIs) bought shares worth ₹934 crore. In the derivatives market, FIIs bought index futures worth ₹315 crore and sold index options worth ₹11,383 crore. Further, they bought stock futures worth ₹1,098 crore and bought stock options worth ₹178 crore.
India VIX
The volatility index rose 1.3% and settled at 11.65.
Stock Action📊
The long build-up was seen in REC, Can Fin Homes, Navin Fluorine, Sun TV and MCX.
The short build-up was seen in Dixon Technologies, Shriram Finance, Kotak Mahindra Bank, TVS Motor and Vedanta.
Under F&O Ban: Canara Bank, Delta Corp, Indiabulls Housing Finance, Punjab National Bank and RBL Bank.
*In Futures and Options or F&O, long build-up means an increase in Open Interest (OI)
long with an increase in price, and short build-up means an increase in Open Interest
(OI) along with a decrease in price.
**Source: nseindia.com. Cash market figures are provisional.